Deputy Prime Minister Kanat Bozumbaev held the first meeting of the Project Office for the implementation of the national project "Modernization of the Energy and Utility Sectors," as reported by Primeminister.kz.
The national project aims to reduce infrastructure accidents and ensure uninterrupted provision of utility services. Currently, the wear and tear of the energy and utility infrastructure of 87 monopolistic enterprises in the fields of heat, electricity, water supply, and wastewater management ranges from 65% to 100%. Thus, the Project Office has been tasked with reducing the wear of engineering networks to 40% and constructing new electricity generation sources (an additional 7.3 GW).
The investment requirement for the modernization of utility networks until 2029 is estimated at 6.8 trillion tenge, with 6.2 trillion tenge needed for electricity generation. Funds will be attracted from development banks, national financial development institutions, and international financial organizations. The establishment of a financing mechanism for natural monopoly entities, as well as the review of applications for concessional financing or subsidies, has been assigned to JSC "NURH "Baiterek." Monitoring and control over the implementation of projects and construction and installation works have been assigned to JSC "Kazcenter Housing and Utilities."
The national project places special emphasis on the development of domestic industry, aiming for 100% utilization of existing enterprises while creating 27 new production facilities and jobs. The Ministry of Industry and Construction has been tasked with developing a specific list of goods, works, and services produced by domestic manufacturers, launching a unified electronic procurement form, and establishing a register of unscrupulous participants.
Separately, the meeting discussed support measures for the category of socially vulnerable households (СУСН). Capable segments of the population should pay for utility services at fair, market rates. Vulnerable populations will be protected from tariff increases through an automated housing assistance system. Relevant ministries have been instructed to consider establishing a threshold for permissible utility expenses at 5% of the total family income for socially vulnerable groups and to standardize the norms for housing area and utility consumption per person to increase the number of housing assistance recipients.
“Problems in the energy and utility sectors are among the most pressing and require comprehensive and prompt solutions. I instruct the Ministry of National Economy, along with interested state bodies and organizations, to submit a detailed Roadmap for the implementation of the national project to the government office within two weeks,” said Kanat Bozumbaev.
The Deputy Prime Minister emphasized that the successful implementation of the national project will require close cooperation between ministries, akimats, and the private sector, as well as active participation from citizens.
“Therefore, the ministries of national economy, energy, industry, and construction, together with the Ministry of Culture and Information, and relevant state bodies and organizations, need to conduct extensive awareness-raising work among the population, the business community, and natural monopoly entities, including holding a briefing for journalists in the third decade of January,” noted Kanat Bozumbaev.